Screen printing program

Pricing Your Screen printing Business for Profit

Every business owner is faced with the challenge of pricing their products and services. Companies have to find a happy medium between profitability and customer appeal. Screen printing companies create a price list to calculate the cost for printed designs, the number of inks used, and base color to develop a set price per garment. To correctly price screen printing orders, you have to calculate your overhead cost and production job costs.

Ovеrhеаd Costs
Overhead/fixed costs are ongoing expenses of running your screen printing company, which include rent, utilities, employee wages etc. Once you have your annual total overhead/fixed cost, divide them by 12 to obtain the monthly fixed breakdown. Once you have that, divide by the number of days your shop is open to understand how much your shop needs to make per day to stay afloat.

Garment markups play a vital role for companies’ success. To help reach your daily fixed cost, garments should be marked up in line with the industry’s standard of about 150 - 200%. Note, basic garments should have the highest initial markup and the more expensive a garment is, the lower the markup. This way your shop makes money prior to running an order.

Production Costs
Production or specific job costs vary greatly across different companies and depends on the equipment your company uses. However every screen printing business considers the same factors when pricing a quote.
These factors include labor expense, colors of the garment, number of ink colors, location of the artwork, flashing and the complexity of the artwork. Please note that this is not a complete list however these are the general factors you need to consider when creating your price list.